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SINGAPORE, July 6 (Reuters) Asian stocks dipped on Friday after strong U.S. jobs and services data further dented prospects for a Federal Reserve interest rate cut later this year, helping the dollar to hold its gains against the euro and yen.

The Institute for Supply Management's services index rose to its highest level in a year in June, while a report from ADP Employer Services pointed to robust jobs growth, leading market participants to believe that U.S. payrolls data due later on Friday will be better than expected.

The news pushed the benchmark 10-year Treasury yield up to 5.15 percent from around 5.06 percent early on Thursday, sending the blue-chip Dow <.dji> down a touch. But the tech-heavy Nasdaq Composite Index <.ixic> added 0.4 percent, helped by a rally in Apple Inc. .

By 0315 GMT, MSCI's measure of Asia Pacific stocks excluding Japan <.msciapj> had fallen 0.3 percent, while Tokyo's Nikkei <.n225> was down 0.6 percent.

U.S. interest rates were not the only concern.

On Thursday, the Bank of England lifted official interest rates by 25 basis points to 5.75 percent and the ECB held rates at 4.0 percent. Both central banks suggested that further tightening was on the cards.

Rising bond yields and expectations of rising interest rates outside the United States have stoked worries among stock market investors about share valuations and higher borrowing costs, pushing down equities and the dollar.

''Investors still feel like inflation risks are on the upside, but markets are expecting that. On the other hand, it does represent a better picture for growth. It's going to be interesting to see how it shapes up as in if growth remains and inflation doesn't shoot up, then that's going to be reasonable good for the market,'' said Binay Chandgothia, chief investment officer at Principal Asset Management.

DOLLAR STEADY, BONDS SLIP On Friday, the dollar was little changed against the yen from the previous day's late New York trade at 123 yen , not far from its 4-1/2-year high of 124.14 yen hit in late June.

The euro was also steady at $1.3595 , off a two-month high of $1.3660 hit the previous day.Sterling was barely moved at $2.0117 , near a 26-year peak.

Japanese government bonds fell, as a drop in euro-zone government bonds and U.S. Treasuries and expectations for the Bank of Japan to raise interest rates as early as August weighed on sentiment.

September 10-year JGB futures were down 0.25 point at 131.35.

The benchmark 10-year yield rose 2 basis points to 1.94 percen.

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The rise in bond yields encouraged investors to book profits ahead of the U.S. jobs data and the weekend break.

Japan's Nikkei average <.n225> slipped 0.6 percent as investors took profits in Suzuki Motor Corp. and other recent gainers following a six-day winning streak.

Australia's stocks <.axjo> fell 0.5 percent as a rise in U.S.

bond yields pressured rate-sensitive banking stocks.

Hong Kong's Hang Seng index <.hsi> fell 0.6 percent. Both the Singapore <.sti> and Taiwan <.tw11> indexes were flat.

But Seoul shares <.ks11> bucked the trend, rising 0.3 percent, led by chip makers, on expectations for a rebound in DRAM memory chip prices. Samsung Electronics surged 4 percent.

Oil steadied after surging over 2 percent to nearly $75 a barrel on Thursday on strong demand and as fresh violence in Nigeria spurred supply concerns.

London Brent crude , seen as the best price gauge of the global oil market, was down 9 cents at $74.66.

Spot gold edged up to $650 an ounce, from $649.30 late in New York on Thursday.

REUTERS RC ND0932